If you are going to become a parentThe page was last modified:
As an entrepreneur, you may be entitled to parental benefit if you are looking after your child instead of working in the company. It is the Swedish Social Insurance Agency (Försäkringskassan) which makes decisions regarding and disburses parental benefit.
As an entrepreneur you are under certain circumstances covered by Swedish Social Insurance Agency (Försäkringskassan), which gives you the right to compensation if you are taking care of your child instead of working in your company. The compensation you receive is based on the income you receive from your company, but if you have little or no income, you may still receive parental benefit. The compensation is calculated slightly differently for each company form. It is the Swedish Social Insurance Agency (Försäkringskassan) which looks into and determines the level of your compensation.
Check out our Företagare och förälder (Entrepreneur and parent) webinar, in which Försäkringskassan provides more information about this subject and answers frequently asked questions.
The webinar is in Swedish but you can use Youtubes automatic translation under settings. We take no responsibility for the accuracy of the translation.
For each child, parents are normally entitled to a total 480 days of parental benefit if the child is legally resident in Sweden before turning 1 year old. 390 of the days during which you receive parental benefit are based on your sickness benefit qualifying income (SGI) and are referred to as days on sickness benefit level. For the remaining 90 days, the compensation is SEK 180 per day. These are referred to as days on the minimum level.
If the child is 1 year of age or older when becoming a legally resident in Sweden, parental benefit is paid out for a maximum 200 days for the child. If the child is 2 years of age or older when they become legally resident in Sweden, parental benefit is paid out for a maximum 100 days for the child.
The parental benefit is almost 80 per cent of your SGI when taking out 7 days of parental benefit per week. The maximum compensation is SEK 1 006 per day. If you do not have any income, you may still receive compensation for staying at home with your child, but then you will receive the lowest level of compensation; the basic level, which is SEK 250 per day.
The Swedish Social Insurance Agency (Försäkringskassan) normally sends out a form to those migrating to Sweden with children and to anyone who has a child here which is then registered in Sweden; this is in order to look into your entitlement to benefits as a parent. You can also contact the Swedish Social Insurance Agency (Försäkringskassan) yourself.
Sickness benefit qualifying income
Your sickness benefit qualifying income (SGI) forms the basis for the parental benefit to which you are entitled when you are on leave in order to look after your child. The parental benefit is based on the income which you receive from work or within your company. Your SGI is calculated in different ways depending on whether you have a limited company, a sole proprietorship or a general partnership.
If you have a limited company, you are considered to be an employee in your own company. Your SGI is therefore calculated based on the salary you take from your company. The higher the salary you take out, the higher your SGI. If you have taken out too low a salary or none at all, you will receive the lowest level of compensation; SEK 250 per day, on sickness benefit level.
Sole proprietorship or general partnership
If you have a sole proprietorship or a general partnership, the Swedish Social Insurance Agency (Försäkringskassan) determines your SGI based on your estimated income from the activities.
If you have a newly started company and low income, you will receive an SGI which corresponds to that of an employee with the same tasks, education and experience.
If you have no expected income whatsoever and are not in the start-up phase, you will receive SEK 250 per day on sickness benefit level.
Responsible: Swedish Agency for Economic and Regional Growth